THE Securities and Exchange Commission (SEC) recently approved the merger of Aboitiz Transport System Corp (ATS) with its subsidiary, Zoom In Packages, Inc (ZIP).
ATS also ratified the merger of ATS and its wholly-owned subsidiary Reefer Van Specialist Inc (RVSI). The merger is still subject to SEC approval.
In both instances, ATS is the surviving entity.
In a disclosure to the Philippine Stock Exchange (PSE), ATS said “The merger will enable ATS to provide integrated service offerings to its clients ranging from full container to loose cargo loads and will improve the effectiveness and efficiency of the delivery of freight services of ATS, as well as achieve more effective management and cost efficiencies for both companies.”
The company said the merger will not affect the equity structure of ATS or the value of its shares. Its officers and directors will keep the positions they are currently holding.
All ZIP employees will, however, be separated and paid accordingly, ATS said.
The ATS-RVSI merger, on the other hand, is also part of efforts to cut costs and streamline operations.
RVSI offers refrigerated transportation services under the CRYO brand name for perishable food products such as processed meat, poultry, fruits, vegetables, and non-food products, like electronics, flowers, and chemicals.
